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Sample of Engagement Letter

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[This sample letter is for REFERENCE ONLY. IMC schools should also refer to EDBC No. 17/2008 on “Appointment of Auditors and Audit Engagement Letter” or its update.]

Sample Audit Engagement Letter (for REFERENCE ONLY)

Our Ref. :

Date :

The Incorporated Management Committee of
(name of IMC School) (“School”)

Dear Sirs,

|AUDIT ENGAGEMENT LETTER |

The purpose of this letter is to set out the basis on which we are to act as auditors of the IMC and the respective areas of responsibility of the Incorporated Management Committee (“IMC”) and of ourselves.

RESPONSIBILITIES OF INCORPORATED MANAGEMENT COMMITTEE AND AUDITORS

1.1 As IMC of the School, you are …show more content…

Any such report may not be provided to third parties except the EDB to meet the requirement stipulated in the Code of Aid and other circulars/guidelines issued by the EDB, without our prior written consent. Such consent will be granted only on the basis that such reports are not prepared with the interests of anyone other than the IMC in mind and that we accept no duty or responsibility to any other party as concerns the reports.

2.3 As part of our normal audit procedures, we may request you and your Managers and Management Staff to provide written confirmation of certain oral representations which we have received from you and your Managers and Management Staff during the course of the audit on matters having a material effect on the accounts.

2.4 In order to assist us with the examination of the accounts, we shall request sight of all documents or statements, including the annual budget, operating and financial review, chairman’s statement and the IMC’s report, which may be issued with the accounts. We are also entitled to attend all general meetings of the IMC and to receive notice of all such meetings.

2.5 The responsibility for safeguarding the assets of the IMC and for the prevention and detection of fraud, error and non-compliance with law or regulations rests with the IMC. However, we shall endeavor to plan our audit so that we have a reasonable expectation of detecting material misstatements in the accounts or books of accounts

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